Compass Minerals (CMP), a leading global provider of essential minerals, today announced that it had completed an amendment to its existing credit agreement. The amendment provides financial covenant relief in the near term and greater flexibility over time across a broad range of operating scenarios.
“We appreciate the unanimous support of our bank group and their recognition of the need for temporary covenant relief given the combination of an exceptionally mild deicing season and trough-level plant nutrition earnings. Today’s amendment adjusts our financial covenants in a manner that we believe provides sufficient headroom both in the near term and along our path to deleveraging over the coming years,” said Lorin Crenshaw, chief financial officer. “It occurs amid a recalibrated strategic focus aimed at strengthening our balance sheet and driving higher returns on capital through significant fixed cost reductions and lower capital intensity.”
Additional details regarding the amendment are provided in the Form 8-K filed today.